ok so dave ramsey is psychic. just one week ago i got my $1000 emergency fund all saved up. well today my check engine light went on in my car. i was way overdue for an oil change anyway so i just took it in right then. well the mechanic called and told me that my car had all this shit wrong with it. broken oxygen sensor, all the tires were practically worn through, the alignment was fucked up, a bunch of fluids needed to be replaced, etc.
this was not really surprising to me since i have had the car for 3 years and never done anything other than oil changes and once i had to replace the brake pads when they completely wore out. the woman i bought the car from never did shit to it either. so basically this car (a 2003 hyundai accent) has been driving around with no maintenance done to it at all for 6 years other than oil changes. the mechanic has been harassing me about the fluids and the tires for months and i was just ignoring it because i couldn't afford anything other than oil changes.
total cost for all this work? $971. can you believe it? and of course, i did not even break a sweat since i knew i had my emergency fund. plus i have $50/month allocated in my budget for car repairs. so i did not even worry.
i put all this into my budget spreadsheet just now and it is not even going to set me back that much. i will only need 2 months, may and june, to build my emergency fund back up, and then i will be back on track to have all my credit card debt paid off in march 2011. yay!
i was having the day from hell at work. normally, even on a good day, a $1000 car repair estimate would have sent me straight into a state of panic. but this did not even phase me. in fact, i was actually excited that i was going to get to put my emergency fund to use!
let me say this again since i am really in total shock over this. just four months ago, if an unexpected and required $1000 expense had arrived in my life, it literally would have been impossible for me to handle. i had no savings and my credit cards were maxed out. i literally have no idea what i would have done. probably open another credit card, or put it on one that was already at or over the limit. this would have cost me so much money over time. but here i am today just taking this in stride and moving on with my life. it literally was the least stressful thing that happened to me today. i cannot get over this.
what the hell has happened to me? i have no idea but i love dave ramsey. i may change the name of this blog to "i need dave ramsey."
Tuesday, April 28, 2009
Tuesday, April 21, 2009
$1000 emergency fund... check!
"wait a minute," you say. "how the hell did that happen? didn't you just decide to save up that $1000 like 2 days ago???" yes, it is true. i have somehow ALREADY saved up my $1000! how? i will explain.
first, starting on january 1, i was putting $50/month towards my emergency fund (with $25 already put in at the end of december when i opened the account). that got me to $200 on april 15. last month, i paid off a credit card. so i put all the money for april that would have gone to credit cards (above minimum balances) to the emergency fund. that was $163 which gets me to $363. then about a week ago, i got a $178 travel reimbursement check which got me up to $541. and then just today, i got both my medical flex spending money ($300) and my tax return ($164). put that in the emergency fund and my ass is at $1000. it is a miracle!
i still do not understand how this could happen so fast. dave ramsey says, "twist and wring out the budget, work extra hours... quickly get your $1000. most of you should hit this step in less than a month." (total money makeover p. 105). i hit this step in TWO DAYS!!! what the fuck! i have no idea, but i will take it.
now that i have my $1000 emergency fund, the $50/month i was putting towards it has been freed up and can go towards my debt. additionally, as of next month my car will be paid off and that gets me another $200/month to pay off my debt.
i just put my credit card debt into this debt calculator at payments of $800/month. it tells me that i will have all my debt paid off in one year and 8 months! that is right, if i continue to stick to my budget i will be done paying it off in january 2011. that is SEVENTEEN MONTHS ahead of schedule!!! oh my god. i don't even know what to do with myself. i am so excited i am seriously about to freak out!
how is this possible, you ask? don't ask me, i am terrible at math and have no fucking clue. i am just happy! someone tell me if i am messing this up somehow. i am going to go run around the block screaming or something.
first, starting on january 1, i was putting $50/month towards my emergency fund (with $25 already put in at the end of december when i opened the account). that got me to $200 on april 15. last month, i paid off a credit card. so i put all the money for april that would have gone to credit cards (above minimum balances) to the emergency fund. that was $163 which gets me to $363. then about a week ago, i got a $178 travel reimbursement check which got me up to $541. and then just today, i got both my medical flex spending money ($300) and my tax return ($164). put that in the emergency fund and my ass is at $1000. it is a miracle!
i still do not understand how this could happen so fast. dave ramsey says, "twist and wring out the budget, work extra hours... quickly get your $1000. most of you should hit this step in less than a month." (total money makeover p. 105). i hit this step in TWO DAYS!!! what the fuck! i have no idea, but i will take it.
now that i have my $1000 emergency fund, the $50/month i was putting towards it has been freed up and can go towards my debt. additionally, as of next month my car will be paid off and that gets me another $200/month to pay off my debt.
i just put my credit card debt into this debt calculator at payments of $800/month. it tells me that i will have all my debt paid off in one year and 8 months! that is right, if i continue to stick to my budget i will be done paying it off in january 2011. that is SEVENTEEN MONTHS ahead of schedule!!! oh my god. i don't even know what to do with myself. i am so excited i am seriously about to freak out!
how is this possible, you ask? don't ask me, i am terrible at math and have no fucking clue. i am just happy! someone tell me if i am messing this up somehow. i am going to go run around the block screaming or something.
Saturday, April 18, 2009
want to view your credit report for free?
don't believe the commercials... freecreditreport.com will NOT get you a free copy of your credit report. they will eventually charge you in the end in order to see the full report. in fact, i am not even giving you guys a link so that you don't accidentally click on it. do not use freecreditreport.com, they will ride you like a pony.
the only website out there where you can get a real, honest, actual free copy of your credit report from all three reporting agencies is annualcreditreport.com. this website is run by the government and allows you one free copy of all three reports every year.
my budget is still on target. i have decided to take my readers' advice and am building up my $1000 baby emergency fund before getting back to paying off my credit cards. i have nothing else to report. sorry this blog is so boring.
the only website out there where you can get a real, honest, actual free copy of your credit report from all three reporting agencies is annualcreditreport.com. this website is run by the government and allows you one free copy of all three reports every year.
my budget is still on target. i have decided to take my readers' advice and am building up my $1000 baby emergency fund before getting back to paying off my credit cards. i have nothing else to report. sorry this blog is so boring.
Saturday, March 28, 2009
i paid off a credit card today!
i am so excited! i paid off one of my chase cards today! in january, when i started my budget, i owed $643.91 on that card. as of today, it is fully paid off! i am so happy!
the current status of my other debts:
when i started in january, my total debt was $194,644.97. that means that in only 3 months, i have paid off $5975.88. this is amazing!
on top of that, i am saving money too. i currently have the following saved:
now i need some advice. according to dave ramsey, i should be putting all extra money on top of minimum payments towards an emergency fund until i reach $1000. right now i am only putting $50/month towards my EF. the point of the EF is that if i have a financial emergency, then i have some money saved to deal with it rather than putting it on my credit cards and therefore setting myself back financially.
i guess one way of thinking about it is that i really do have a total of $635.30 in savings and if i had an emergency, i would skip the trip and the wedding. so maybe i really only need a little bit more savings to reach $1000 if i count that money.
so what do you guys think, should i keep paying off my credit cards the way i am, or should i put paying anything above the minimum payments on hold until i get more into my EF? and how much do i really need right now in there?
the current status of my other debts:
- other chase card: $9774.43
- bank of america card: $5043.41
- car loan: $386.59 (this one is so close too, i am so excited)
- student loans: $173,464.66 (these are paid by loan repayment money, not my own money, but i still think it counts)
when i started in january, my total debt was $194,644.97. that means that in only 3 months, i have paid off $5975.88. this is amazing!
on top of that, i am saving money too. i currently have the following saved:
- emergency fund: $175.30
- trip to new orleans with give back cincinnati: $200.00 (plus i already paid $150.00 for this trip)
- christine and nate's wedding: $260.00
now i need some advice. according to dave ramsey, i should be putting all extra money on top of minimum payments towards an emergency fund until i reach $1000. right now i am only putting $50/month towards my EF. the point of the EF is that if i have a financial emergency, then i have some money saved to deal with it rather than putting it on my credit cards and therefore setting myself back financially.
i guess one way of thinking about it is that i really do have a total of $635.30 in savings and if i had an emergency, i would skip the trip and the wedding. so maybe i really only need a little bit more savings to reach $1000 if i count that money.
so what do you guys think, should i keep paying off my credit cards the way i am, or should i put paying anything above the minimum payments on hold until i get more into my EF? and how much do i really need right now in there?
Sunday, March 22, 2009
get cash for bitching
anyone who knows me knows that i love to bitch. i am simply not happy unless i have something to complain about. once that problem gets resolved, i find something else to bitch about.
while this may not be the greatest personality trait in some respects, in terms of getting cash money it really works out well for me. when i lived in new york, i was having a series of problems with a grocery delivery company. they would bring me broken eggs and brown lettuce and then refused to give me my money back. as a law student, of course i had many people around me to advise me on my rights. thus i learned about the better business bureau.
i complained about this particular company to the bbb several times and each time was given a $50 voucher for free future groceries. a couple smashed bananas led to $50 worth of free groceries! i was amazed. how could this wondrous organization get me such great compensation? i had spent hours on the phone bitching to unresponsive customer service reps. but fill out one online complaint form and i got the sun, moon, and stars?
of course i then became obsessed with the better business bureau. i told all my friends about it, and they were skeptical. but to this day, the bbb has never done anything but work miracles for me.
if something goes wrong in your transactional life, all you have to do is go online to the bbb website, file a complaint, and wait for the cash to come rolling in. you do not have to spend hours on the phone. you don't even have to spend one minute on the phone. and you do not have to even try to work it out with the company first! read the bbb policy: "BBB strongly encourages consumers to first attempt to resolve complaints directly with the company, however BBB will not reject a complaint if a consumer has not taken this step."
strongly encourages, but does not require. that means you can just skip all the annoying waiting on hold, talking to people who don't care about you, apologies, refusals to help, eating up your cell phone minutes bullshit that you would normally have to deal with. just click the link above, spend about 5 minutes typing, hit send, and you are well on your way to happy money land.
don't believe me? here is a bbb testimonial from my friend chad: "I once bitched about a terrible meal that we tried to enjoy with [friends] after boozing it up at a wine festival. I was refunded EVERYONE's money ($130+). JACKPOT."
i want to make it clear that i am an ethical bbb complainer. i do not file complaints unless i truly have a complaint. and i do not make up complaints just to get cash over little things. i wait for instances where i feel i have been truly wronged as a consumer. i value the bbb so much that i am not going to make them spend their time and energy on situations that do not require their intervention. i also do not want to dilute the amazing magical power they have by overloading them with bullshit.
however, if you have had a truly awful meal, or received poor service, or got screwed over, or been charged for things you did not agree to, or any other situation where you just feel like you were not treated fairly by a business, i strongly encourage you to use the bbb. they are your friend. they love you. they have your back. and they will get you some much needed cash in your pocket.
while this may not be the greatest personality trait in some respects, in terms of getting cash money it really works out well for me. when i lived in new york, i was having a series of problems with a grocery delivery company. they would bring me broken eggs and brown lettuce and then refused to give me my money back. as a law student, of course i had many people around me to advise me on my rights. thus i learned about the better business bureau.
i complained about this particular company to the bbb several times and each time was given a $50 voucher for free future groceries. a couple smashed bananas led to $50 worth of free groceries! i was amazed. how could this wondrous organization get me such great compensation? i had spent hours on the phone bitching to unresponsive customer service reps. but fill out one online complaint form and i got the sun, moon, and stars?
of course i then became obsessed with the better business bureau. i told all my friends about it, and they were skeptical. but to this day, the bbb has never done anything but work miracles for me.
if something goes wrong in your transactional life, all you have to do is go online to the bbb website, file a complaint, and wait for the cash to come rolling in. you do not have to spend hours on the phone. you don't even have to spend one minute on the phone. and you do not have to even try to work it out with the company first! read the bbb policy: "BBB strongly encourages consumers to first attempt to resolve complaints directly with the company, however BBB will not reject a complaint if a consumer has not taken this step."
strongly encourages, but does not require. that means you can just skip all the annoying waiting on hold, talking to people who don't care about you, apologies, refusals to help, eating up your cell phone minutes bullshit that you would normally have to deal with. just click the link above, spend about 5 minutes typing, hit send, and you are well on your way to happy money land.
don't believe me? here is a bbb testimonial from my friend chad: "I once bitched about a terrible meal that we tried to enjoy with [friends] after boozing it up at a wine festival. I was refunded EVERYONE's money ($130+). JACKPOT."
i want to make it clear that i am an ethical bbb complainer. i do not file complaints unless i truly have a complaint. and i do not make up complaints just to get cash over little things. i wait for instances where i feel i have been truly wronged as a consumer. i value the bbb so much that i am not going to make them spend their time and energy on situations that do not require their intervention. i also do not want to dilute the amazing magical power they have by overloading them with bullshit.
however, if you have had a truly awful meal, or received poor service, or got screwed over, or been charged for things you did not agree to, or any other situation where you just feel like you were not treated fairly by a business, i strongly encourage you to use the bbb. they are your friend. they love you. they have your back. and they will get you some much needed cash in your pocket.
Thursday, March 19, 2009
saving money = losing friends?
i am really annoying with this budget thing. let me list all the ways i am annoying:
- i regularly tell people i can't do things because they are not in my budget. and yes, i admit it, i have occasionally used this as an excuse to get out of something just because i didn't feel like it. however, i feel that is actually justified since if i really don't want to do it, i shouldn't be spending money on it, even if technically i can afford it.
- i started reading dave ramsey's total money makeover and i am obsessed. i talk about it constantly. my friend eric refers to it as my "cult."
- due to said dave ramsey obsession, i like telling people what they are doing wrong. to a friend who plays the lottery: "dave ramsey says the lottery is a tax on the stupid." to a friend who bought a new car: "dave ramsey says buying a new car is the same thing as throwing a $100 bill out the window every week." to a friend who is worried about paying for unexpected expenses: "do you have an emergency fund? how much is in it? dave ramsey says you should have 6 months worth of money."
- i actually am really not even sure what dave ramsey says, but any time i come up with what i think is a good money idea i say it is dave ramsey's idea so that people will pay attention to it. this does not work and people just make fun of me and eric tells them i am in a cult.
- besides my dave ramsey obsession, i really want to share my new money knowledge with anyone who will listen, and even those who won't. my sister got in a car accident and i wanted to talk about how to save to pay for a new car. then i was like "oh, wait, are you ok?"
- whenever i go out, i keep written track of my spending. some people are ok with this but others get very uncomfortable when they see me writing down notes on how much i spent after a meal or a drink or a movie.
- i always ask for deals in restaurants. if i am told there are specials, i have to know what they are and how much. "what's your cheapest beer?" is a common question of mine, followed by, "how much is it?" the other day i was out at a sushi restaurant and the owner came around with a bottle of sake, offering tastes. i would not accept one until i asked, "is this free?" and he assured me it was. some people think this is funny. others really hate it. i say too damn bad, if you don't like it then buy me a drink and then i won't have to worry about the price.
- i no longer offer to pay for things. i used to sometimes pick up the bill on things here and there, but now i am like "you owe $5 for your drink. plus tip." if someone doesn't leave enough money, i bitch until they shell out what they owe.
- other side of the coin: i only put in what i owe on group bills. if there is not enough money on the table, i refuse to put in more if i don't owe it (which i almost never do, because i always carefully calculate my portion plus tax and tip). i am not carrying the tip cheaters any longer. i think this probably makes me seem cheap, but again, too damn bad. i have covered the cheap bastards for long enough in my life.
Sunday, March 1, 2009
credit score magic
i get free credit score tracking with my providian aka wamu aka chase card. aka the one that fucked me over and charged me 31.49% interest. well look what it is showing today:
ok. i don't really get what is going on. apparently my credit score has jumped 100 points in the past 2 months. and in those 2 months, i only paid off a little bit of my debt and i also closed a couple accounts (which is supposed to hurt your credit score). based on what i think i know about credit scores, mine should not be increasing like this.
i realize this report of my credit score is probably not super reliable since it is just one credit reporting company and it is not official or whatever. but based on what this has reported in the past, when compared to my actual credit report, it has been accurate.
i feel like my credit score is proud of me and rewarding me for my hard work at sticking to my budget, but i realize that is not actually possible or even remotely based in reality. i wonder what the hell is going on.
FICO® Score Tracking
Track your score for each month that you've been a customer, up to one year.| 686  | 686 | 686 | 662 | 671 | 678 | 678 | 678 | 678 | 672 | 696 | 771 | |||||||||||||
| Mar 08 | Apr 08 | May 08 | Jun 08 | Jul 08 | Aug 08 | Sep 08 | Oct 08 | Nov 08 | Dec 08 | Jan 09 | Feb 09 | |||||||||||||
Provided by: TransUnion
ok. i don't really get what is going on. apparently my credit score has jumped 100 points in the past 2 months. and in those 2 months, i only paid off a little bit of my debt and i also closed a couple accounts (which is supposed to hurt your credit score). based on what i think i know about credit scores, mine should not be increasing like this.
i realize this report of my credit score is probably not super reliable since it is just one credit reporting company and it is not official or whatever. but based on what this has reported in the past, when compared to my actual credit report, it has been accurate.
i feel like my credit score is proud of me and rewarding me for my hard work at sticking to my budget, but i realize that is not actually possible or even remotely based in reality. i wonder what the hell is going on.
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